The One FOMC Wild Card Probably Flying Under Your Radar

Only a few weeks ago, a growing majority seemed to think that a September rate hike by the FOMC was inevitability. My, how things have changed.

In a new note out this week, Citi Research analyst William Lee took a look at how the past week of market instability has affected the potential for a September hike. Lee also mentioned one major “wild card” that remains up in the air.

China’s Influence

It’s no secret that the primary source of the recent global market turbulence has been China. However, Lee believes that China, as a stand-alone entity, would have very little influence on the FOMC rate-hike decision.

“Our trade links with China and Asia in general are too small to influence the Fed’s decision unless there is spillover into the rest of the world that induces a global recession,” Lee explained.

September Hike Remains On The Table

Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common Sense. I don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Senseis now available on Amazon, and tradingcommonsense.com is always available on your local internet!